Semler reports second quarter and first half of 2021 financial results

Semler Scientific, Inc. a company that provides technology solutions to improve the clinical effectiveness and efficiency of healthcare providers, today reported financial results for the three and six months ended June 30, 2021.

“Increased orders for QuantaFlo® from current and new customers led to record results again during the second quarter,” said Doug Murphy-Chutorian, M.D., chief executive officer of Semler Scientific. “Our main focus is on the expansion of QuantaFlo® for peripheral arterial disease (PAD) testing, as we attempt to evolve into a multi-product company offering enterprise solutions that service an enlarging client base.”

In the second quarter of 2021 compared to the corresponding period of 2020, fixed fee license revenues were approximately $7.6 million, an increase of $1.7 million, or 28% compared to $6.0 million; variable fee license revenues were approximately $6.5 million, an increase of $6.2 million compared to $0.3 million; and other product sales were approximately $0.2 million, an increase of $0.1 million, or 46% compared to $0.1 million. In the second quarter of 2020, Semler Scientific experienced decreased test volumes due to COVID-19 related “social distancing” and other executive orders mandating “shelter-in-place” or similar restrictions, which limited patient visits. As such restrictions have been lifted around the country and non-emergency medical services resumed in late 2020, Semler Scientific’s business has returned to and even exceeded pre-COVID-19 levels.

Semler Scientific’s two largest customers comprised 38% and 33% of quarterly revenues.

In 2021, Semler Scientific expects continued profitability and generation of cash from operating activities, as well as increased spending to support anticipated growth in its business. It is Semler Scientific’s intent to grow annual revenues at a faster rate than annual expenses and to remain profitable.

Other Notable Events
As previously reported in April 2021, Semler Scientific entered into an agreement with a private company to exclusively market and distribute a new product line in the United States, including Puerto Rico, except for selected accounts. Under this distribution agreement, Semler Scientific agreed to purchase $2.0 million worth of product licenses. In 2020, Semler Scientific had made a investment in this private company.

Also, as previously reported in April 2021, Semler Scientific exercised its option to “put” shares of one of its private company investments back to the sellers in exchange for the shares of Semler Scientific common stock originally issued to the sellers. Following this transfer, Semler Scientific holds only the shares of preferred stock acquired in December 2020. PR Newswire